To The Moon

$OCBC Bank(O39.SI)$  

 Quarter-on-Quarter Performance

Group net profit rose 9% from a quarter ago to S$1.98 billion, driven by stronger non-interest income which

cushioned the impact of a lower net interest income.

➢ Net interest income was S$2.23 billion, 2% lower quarter-on-quarter. While average assets increased,

this was more than offset by an 8 basis-point compression in net interest margin (“NIM”) to 1.84%. The

narrowing of NIM was mainly due to a downward repricing of loans from the decline of benchmark

rates in SGD and other currencies, where the moderation in loan yields outpaced the reduction in

deposit costs.

➢ Non-interest income grew 24% from the previous quarter to S$1.57 billion, supported by broad-based

growth across fee, trading and insurance income.

• Net fee income increased 18% to S$683 million, led by a 35% rise in wealth management fees,

reflecting strong customer activities across a broad range of products. Loan and trade-related,

fund management and brokerage fees were also higher.

• Net trading income was S$518 million, up 38% from the previous quarter. Customer flow

treasury income rose 29% to S$373 million, supported by both wealth and corporate segments.

• Insurance income from GEH was up 38% to S$311 million, largely attributable to improved

investment performance of its insurance funds. Total weighted new sales increased 3% to

S$373 million from sustained sales momentum. New business embedded value (“NBEV”) grew

9% to S$182 million, and NBEV margin improved to 48.8%.

ter 2025 Results Press Release

Co.Reg.no.: 193200032W 3

➢ The Group’s wealth management income, comprising income from private banking, premier private

client, premier banking, insurance, asset management and stockbroking, was S$1.62 billion, up 25%

from the previous quarter. Group wealth management income accounted for 43% of total income,

higher than 37% in 2Q25. Banking wealth management AUM grew 8% from a quarter ago to a record

high of S$336 billion, supported by net new money inflows and positive market valuation.

➢ Operating expenses rose 9% quarter-on-quarter to S$1.52 billion, largely due to increased staff costs

and continued investments in technology.

➢ Total allowances were S$139 million, up 21% mainly attributable to higher allowances for impaired

assets. Credit costs were 16 basis points on an annualised basis.

➢ Share of results of associates of S$279 million was 6% above 2Q25.

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